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ACFO: salary sacrifice on the rise but concerns remain

Date: 15 November 2013   |   Author: Jack Carfrae

A survey by fleet operator association ACFO has revealed that employers are taking more interest in salary sacrifice schemes but some operators remain concerned about their viability.

The survey, conducted on the organisation's website, showed that 36% of fleets already had a salary sacrifice scheme in operation - a 16% rise on 2012.

Despite the rise, 23% of respondents said their employer had no interest in introducing such a scheme at all, citing changes to lease accounting rules, the small size of their business and conflict with traditional company car schemes as some of the reasons against them.

ACFO chairman Damian James said: "Salary sacrifice is one of many useful tools in the vehicle funding and employee benefits toolboxes and it is clear from the survey that demand is growing.

"From the survey results it is also clear that some employers with several thousand employees and large fleets are using salary sacrifice as an alternative funding mechanism for company cars."



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